Full year results are out:
https://announcements.nzx.com/detail/373011
Not bad. Revenue as per last year, but NPAT by nearly 25% increased!
Result Summary:
Operating Revenue in line with last year at $570m2
Operating Profit (EBIT) up 13% to $35.1m
Net Profit After Tax Attributable to Shareholders up 24% to 16.8m
Pharmacy Operating Revenue down 6% and Operating Profit at $24.1m
Medical continued to grow, with Operating Revenue up 7% and Operating Profit $9.3m
Community Health Operating Revenue up 10% and Operating Profit $3.7m.
No divie though "to preserve cash to assist the Company with accelerating its acquisition activities"
PE is 9.3 and EPS CAGR (both averaging over the last 10 years) was 8.9; Not too bad - a health company with quite healthy earnings and still consistently growing them. Move to doctors and community services in my view a good idea.
Some other observations:
NTA turned positive (from negative 10 cents to plus 6 cents), which is good. Yes, they still do have a lot of intangibles on the balance sheet, though given the earnings capacity they do seem to be appropriately priced in the balance sheet.
Liabilities to assets dropped into a more acceptable region (down from 64.2% to 59%), which is good as well.
Overall - good and consistent earner, promising strategy and balance sheet improving. Look undervalued to me.
Happy holder.